NEW YORK--(BUSINESS WIRE)--SG Blocks, Inc. (Nasdaq: SGBX) ("SG Blocks" or the "Company"), a leading designer, innovator and fabricator of modular and container-based structures, today announced three development projects to be undertaken at its SG ECHO modular/container manufacturing facility in Durant, Oklahoma. In September 2020, SG Blocks closed on the purchase of most of the assets of ECHO DCL, which specializes in the design and construction of permanent and temporary modular buildings. These projects are expected to generate approximately $1.7 million in aggregate revenue to the Company and join the previously announced projects being fabricated at the facility, including the approximately $4.0 million in aggregate revenue mixed-used South Florida hospitality project announced by the Company on July 6, 2020 and the approximately $2.9 million in aggregate revenue SG ECHO New Mexico project announced on September 28, 2020.
“We are very pleased to announce these three construction projects, underscoring the true benefit of our investment in the ECHO DCL facility,” stated Paul Galvin, Chairman and CEO of SG Blocks. “As we said when we announced the acquisition of ECHO DCL, we believe it offers us an opportunity to vertically integrate a large portion of our cost of goods sold, as well as increase margins, productivity and efficiency in the areas of design, estimating, manufacturing and delivery. We see tremendous momentum across our businesses as these announcements indicate, and look forward to completing and delivering these durable and environmentally sustainable buildings.”
The projects announced today include: i) an engagement to provide an approximately 2,000 square foot COVID rapid response facility in Minnesota, with a target completion date of Q4 2020; ii) an agreement to provide multiple buildings totaling approximately 18,000 square feet in the southeast, with a target completion date of Q4 2020, and; iii) an engagement to deliver a 3,000 square foot administrative security building in Arizona, with a target completion date of Q1 2021.
The SG ECHO manufacturing facility, located in Durant, Oklahoma, is a two-building, 70,000 square foot modular manufacturing facility. Since inception, the ECHO DCL facility has catered to the space needs of major markets, including military, education, administration facilities, health care, government, commercial and residential manufacturing, and SG Blocks expects to continue to support these and other industries with its container-based modular units.
About SG Blocks, Inc.
SG Blocks, Inc. is a premier innovator in advancing and promoting the use of code-engineered cargo shipping containers for safe and sustainable construction. The firm offers a product that exceeds many standard building code requirements, and also supports developers, architects, builders and owners in achieving greener construction, faster execution, and stronger buildings of higher value. Each project starts with GreenSteel™, the structural core and shell of an SG Blocks building, and then customized to client specifications. For more information, visit www.sgblocks.com.
Safe Harbor Statement
Forward-Looking Statements Certain statements in this press release constitute "forward-looking statements" within the meaning of the federal securities laws. Words such as "may," "might," "will," "should," "believe," "expect," "anticipate," "estimate," "continue," "predict," "forecast," "project," "plan," "intend" or similar expressions, or statements regarding intent, belief, or current expectations, are forward-looking statements. These forward-looking statements are based upon current estimates and assumptions and include statements regarding the three development projects to be undertaken at the SG ECHO modular/container manufacturing facility in Durant, Oklahoma, the projects generating approximately $1.7 million in aggregate revenue to the Company, the $4.0 million in aggregate revenue mixed-used South Florida hospitality project announced by the Company on July 6, 2020, the $2.9 million in aggregate revenue SG ECHO New Mexico project announced on September 28, 2020, the acquisition of ECHO DCL offering the Company an opportunity to vertically integrate a large portion of its cost of goods sold, as well as increase margins, productivity and efficiency in the areas of design, estimating, manufacturing and delivery. While SG Blocks believes these forward-looking statements are reasonable, undue reliance should not be placed on any such forward-looking statements, which are based on information available to us on the date of this release. These forward-looking statements are subject to various risks and uncertainties, many of which are difficult to predict that could cause actual results to differ materially from current expectations and assumptions from those set forth or implied by any forward-looking statements. Important factors that could cause actual results to differ materially from current expectations include, among others, the Company’s ability to complete construction of the three development projects to be undertaken at the SG ECHO modular/container manufacturing facility as planned and generate approximately $1.7 million in aggregate revenue to the Company, the Company’s ability to complete construction of the mixed-used South Florida hospitality project announced on July 6, 2020 as planned and generate approximately $4.0 million in aggregate revenue to the Company, SG ECHO’s ability to complete construction of the New Mexico project announced on September 28, 2020 as planned and generate approximately $2.9 million in aggregate revenue, the Company’s ability to vertically integrate a large portion of its cost of goods sold, as well as increase margins, productivity and efficiency in the areas of design, estimating, manufacturing and delivery the Company’s ability to position itself for future profitability, the Company’s ability to maintain compliance with the NASDAQ listing requirements, and the other factors discussed in the Company’s Annual Report on Form 10-K for the year ended December 31, 2019 and its subsequent filings with the SEC, including subsequent periodic reports on Forms 10-Q and 8-K. The information in this release is provided only as of the date of this release, and we undertake no obligation to update any forward-looking statements contained in this release on account of new information, future events, or otherwise, except as required by law.